Weston Products manufactures an industrial cleaning compound that goes through t
ID: 2342430 • Letter: W
Question
Weston Products manufactures an industrial cleaning compound that goes through three processing departments-Grinding. Mixing. and Cooking. All raw materials are introduced at the start of work in the Grinding Department. The Work in Process T- account for the Grinding Department for May is given below Work in Process-Grinding Department Completed and transferred to Inventory, May1 140.400 Materials Conversion the Mixing Department? 587,200 210,240 Inventory, May 31 ? The May 1 work in process inventory consisted of 60,000 pounds with $104,400 in materials cost and $36.000 in conversion cost. The May 1 work in process inventory was 100% complete with respect to materials and 80% complete with respect to conversion. During May. 304,000 pounds were started into production. The May 31 inventory consisted of 55,000 pounds that were 100% complete with respect to materials and 60% complete with respect to conversion. The company uses the weighted-average method to account for units and costs.Explanation / Answer
Answers
Requirement 1
Material
Conversion
Equivalent Units of Production
364,000
342,000
Requirement 2
Material
Conversion
Cost per equivalent Unit
$ 1.90
$ 0.72
Requirement 3
Material
Conversion
Total
Cost of Units Completed and Transferred out
$ 587,100.00
$ 222,480.00
$ 809,580.00
Working
Units
Reconciliation of Units
A
Opening WIP
60,000
B
Introduced
304,000
C=A+B
TOTAL
364,000
D
Transferred
309,000
E=C-D
Closing WIP
55,000
Statement of Equivalent Units
Material
Conversion Cost
Units
Complete %
Equivalent units
Complete %
Equivalent units
Transferred
309,000
100%
309,000
100%
309,000
Closing WIP
55,000
100%
55,000
60%
33,000
Total
364,000
Total
364,000
Total
342,000
Cost per Equivalent Units
COST
Material
Conversion Cost
TOTAL
Beginning WIP Inventory Cost
$ 104,400.00
$ 36,000.00
$ 140,400.00
Cost incurred during period
$ 587,200.00
$ 210,240.00
$ 797,440.00
Total Cost to be accounted for
$ 691,600.00
$ 246,240.00
$ 937,840.00
Total Equivalent Units
364,000
342,000
Cost per Equivalent Units
$ 1.90
$ 0.72
Statement of cost
Cost
Equivalent Cost/unit
Ending WIP
Transferred
Units
Cost Allocated
Units
Cost Allocated
Material
$ 1.90
55,000
$ 104,500.00
309,000
$ 587,100.00
Conversion Cost
$ 0.72
33,000
$ 23,760.00
309,000
$ 222,480.00
TOTAL
$ 128,260.00
TOTAL
$ 809,580.00
Material
Conversion
Equivalent Units of Production
364,000
342,000
Related Questions
drjack9650@gmail.com
Navigate
Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.